Purchasing Produce: Why Managed Services Make Sense
NPC Powered by Foodbuy Can Help
Where do your in-house eateries source their produce from? Does your team find each grower and shipper themselves or do you work with an external team? Purchasing produce through managed services is one of the better ways to ensure fresh, top-quality ingredients and professional quality assurance while managing costs effectively.
Managed services offer a comprehensive approach to procurement, leveraging technology, supplier category expertise, and industry insights to streamline processes and drive efficiencies. In this article, we delve into the myriad benefits that managed services bring to the table, including enhanced data reporting, access to better prices, and expert support, ultimately empowering businesses to make informed decisions and thrive in the marketplace.
The Traditional Approach and its Drawbacks
Traditionally, hospitality operators have relied on a manual and fragmented approach to purchasing produce, often involving multiple steps and stakeholders. This process can require a lot of maintenance, from maintaining grower relationships to manually tracking spend.
While it works for some, this way of buying fruits and vegetables has major drawbacks. Many hotel and resort operators find the traditional approach to be:
Time-consuming – negotiating contracts with every grower and distributor takes valuable time away from your staff.
Inconsistent – without data tracking technology, monitoring pricing is difficult and can lead to overspending or under-ordering.
Unreliable – quality control and price comparisons are difficult when you’re relying on limited visibility into the industry.
More Expensive – Oftentimes there is “sheltered” income in the supply-distribution chain which artificially raises into unit pricing for the customer.
While this process is often the default, modern alternatives can make a substantial impact on your business’s efficiency and brand quality.
Enhanced Data Reporting
How closely do you track your purchasing data? If you’re purchasing produce in-house, you likely don’t have the time to effectively analyze your spend. That’s where managed produce services can provide a leg up and big savings advantages.
Many managed produce services leverage technology to track buying. Foodbuy Hospitality Members can work with NPC Powered by Foodbuy to take advantage of their online data platform, producemanager.com. This web-based technology allows you complete visibility into produce purchasing. Purchasing insights streamline decision making and ensure optimal results.
Finding the Best Price
While you can compare prices all day, access to the best deals often comes with greater buying power. A purchasing partnership with a managed produce service can mean access to optimal pricing through leveraged spend and supply chain efficiencies. Managed produce services can mean leveraging the combined spend of many businesses, leading to better rates for the same products. Plus, because these groups have long-established relationships with growers and distributors, they know how to best use your produce budget.
Relying on Produce Experts
One of the major benefits Foodbuy Hospitality Members see when they switch to a managed produce-buying service is the ability to leverage expert knowledge. Our Members who work with NPC Powered by Foodbuy are assigned a dedicated fresh produce specialist.
This industry expert serves as an extension of your procurement team, connecting you with the highest-quality products and helping you navigate the overall produce buying landscape. They work around your needs, providing custom solutions and best-practices advice. This means helping you reach local, diverse, and sustainable sourcing goals, helping you determine which distributors make sense for your business, and addressing other purchasing questions.
Purchasing Produce With Support
By partnering with managed service providers, organizations can unlock efficiencies, reduce costs, and drive growth in their procurement operations. If you’re looking to explore managed service options for purchasing produce, NPC Powered by Foodbuy is a good option.
Speak to your Foodbuy Hospitality account manager today to get started.